No regrets. We only have debt.

PurpleJay · 7 June 2020 at 10:42AM

If it were me, I would sell the rental and clear the debts. Then you could either save, or start paying off the mortgage (or a combination of the two.

MrGorsky · 7 June 2020 at 4:21PM

Thanks PurpleJay, but it's a part owned rental, and not as easy to get out of.

MrGorsky · 19 June 2020 at 2:08PM

Slow progress until I start my new job.........
A few ebay sales, I seem to have made more progress on ebay while on furlough. Odd things lying round the garage such as light bulbs for lights I no longer have etc... probably got £70 this week on ebay.
We are saving money as kids aren't going to their clubs etc, we just need to stick with not making online hopping purchases during this lockdown, and find entertainment from what we have.

AA Loan £775 3.2% currently repaying £325 mnth

M&S loan £9500 2.96% repaying £1140 / mnth

TSB Credit Card £3104 0% til 09/21.............280 /mnth

Natwest Credit Card £10674 0% til 03/22

Family loan £30k
Total: £54053

... should this be moved to a debt free diary? .. somehow?

ryanm8655 · 20 June 2020 at 7:44AM

A mod should be able to move it for you if you ask.

Good work on the eBay sales. Every little helps.

MrGorsky · 25 June 2020 at 12:59PM

Some more ebaying, and payday, means I am able to payoff the AA loan in full. Paying this £775, means I will save £14 in interest aswell over the next 2 months.

M&S loan £9500 2.96% repaying £1140 / mnth

TSB Credit Card £3104 0% til 09/21.............280 /mnth

Natwest Credit Card £10674 0% til 03/22

Family loan £30k
Total: £53,278

mark55man · 27 June 2020 at 10:33PM

Hey - late to the party, but wow a real rollercoaster. You are really motoring through the debts. Which is good and lockdown has been helpful to many people in reducing "essential" life costs, and finding fun where they can.

As your equity in your house has increased I think you have a decision on the family loan. Its really bad practice to transition non secured loans to secured loans (mortgage), so this is not a suggestion for the loans/CC. However, I'm don't know the details of the family loan, but I think I would rather pay a little in interest and not owe anyone close to me a chunk of money, so I would look to transition a good chunk of the family loan by extending the mortgage and then OP the hell out of that. I presume its from parents or in-laws but even then you need to be careful - there are many complexities in unravelling that if there are siblings or there is care provision to fund.

MrGorsky · 28 June 2020 at 7:08AM

Thanks Mark. Id never thought of that, and it's a great idea.

mark55man · 28 June 2020 at 8:24AM

Only you know your situation, but at the very least - even if family brush off the suggestion (as I suspect my FIL would) they will feel better that you brought it up as an option.

enthusiasticsaver · 28 June 2020 at 8:37AM

You are doing really well in getting those debts down. I don't think I would move the family loan to it being secured on your house. It reduces your equity which means remortgage deals may be more expensive. As you have a decent surplus can you not start making regular repayments of say at least £250 a month until the house or other debt finished and then up it to £500? Do you want me to move this to the diaries section?

mark55man · 28 June 2020 at 11:06AM

What ES says is undoubtedly the best financial solution. But for me while (clearly from my record) I don't mind owing money to banks I've never had any from family, and the few times I've lent money to family (true emergencies and my credit rating being better than theirs - but that's a different story) I've always felt a bit miffed that they weren't taking repayments seriously (although I did get them). So maybe all I am asking is just to check that everything is still OK with the lender - who knows what they may be putting on hold - even though I am sure they are delighted to be helping